Im talking “values“ up 50-100% since Covid in my neighborhood. I’ve toured a few where everything is still original from when the houses were built in 1992 (like original jetted tubs and builder grade bathrooms, 8-10 year old kitchens and roofs). All are asking over $800K when they sold in 2015 for $3-400K.
I just sold a house where we had remodeled every major room (kitchen, baths, floors, roof, HVAC) and felt justified in our markup. But it’s crazy now to see sellers asking for that markup for just a few basic maintenance items.
Yet most of these sellers are willing to just sit and wait it out until they find a desperate buyer. Several have sat on/off market for close to a year. I’m frustrated (and jealous). I’d like to upgrade my home but I can’t justify these values.
Everything is overpriced
byu/Technical_Quiet_5687 inRealEstate
Posted by Technical_Quiet_5687
13 Comments
The market determines the value and you just don’t agree which is fine, but it doesn’t make your opinion correct.
everything is priced exactly what the market is pricing it at.
Compared to wages, houses are indeed very expensive. But so are stocks and pretty much everything else. It’s a permanent bubble that never pops. [Seriously, living nowadays feels like a SCAM : r/TrueOffMyChest](https://www.reddit.com/r/TrueOffMyChest/comments/1s0j2q4/seriously_living_nowadays_feels_like_a_scam/)
Value is set by what a willing and able buyer pays for an item. Anyone can ask any price for something. The amount they ask for something is not its value. If the houses are sitting tha long that is a good indicator they are way overpriced.
I do agree that housing prices in a post covid era are high. Only time will tell what happens to the prices paid.
“Everyone is ripping people off except for me.”
Housing is not overpriced, it’s priced based on demand. The demand is supporting all pricing.
Check r/salary to understand why everything is so expensive
It’s totally insane
2015 is irrelevant. It is supply and demand. Supply is low and demand is high. A house is worth whatever the market will bear. If buyers are willing to pay 800k, that is the current value. I would suggest doing one of the following: 1) save a larger down payment to increase the price range you can afford; 2) look for properties that need significant work or are foreclosures; or 3) lower your expectations and buy a townhouse or condominium.
Dude, 2015 was 11 years ago!
Supply and demand set market prices.
Why did you sell your remodeled home to try and buy an “overpriced” outdated home?
The value of the dollar has dropped about 50% since 2015
The solar has lost 35% of its value since 2020
The s and p was around 2,000 a share in 2015 and now it just hit 7,000.
I don’t disagree about home prices but also go try to build new in the area and see what that runs you. How do you define “value”.
I’d agree that I see some stubborn sellers whose houses don’t sell, then they delist and relist. Those people must not need to sell.
That’s not happening in my neighborhood. If someone is right priced it goes in 2 days. If it’s overpriced it usually drops $25-$50k on a $600k avg and then sells.
You might just live in an area that had a lot of growth in the past 10 years and also has people who don’t need to sell. Happens in vacation type towns a lot.
Are they selling?
I’ve seen some houses in my neighborhood that sold for ~300k five years ago now hitting the market for ~500k.
But none of them have sold yet.